There is a track from Shu He to Bai Sha Village. We walked from Shu He village to BaiSha the Naxi Museum and grotoes along a country track, no cars, very peaceful. Only about 1km.

I second the observation that Lijiang is noisy in the day, and even noisier at night. Tbh I hated Lijiang old town - it was beautiful, but oh so new and commercialised. If I go again I will stay in Shuhe.

Lijiang old town is great for exploring Jiangsu, Zhejiang, and Fujian culture. I believe that Sichuan hotpot is also very popular. They were able to get rid of all that dilapidated architecture and primitive cultural stuff once they got world heritage status. Now all then need is Dicos, and Starbucks.